Dogecoin price under pressure as major H&S pattern targets deep losses

Dogecoin has fallen to its lowest level in years after a sharp breakdown of a multi-year head and shoulders pattern has added fresh selling pressure during the recent crypto market move.

According to crypto.news data, Dogecoin (DOGE) price traded near $0.081 on June 6 after losing more than 20% last week. The decline came as Bitcoin briefly dipped below the key $60,000 level, which triggered a heavy sell-off across the digital asset market and pushed the Crypto Fear & Greed Index deeper into Extreme Fear territory.

More pressure has come from the derivatives markets. Recent crypto-wide closing events have wiped out billions of dollars in available positions, with long traders accounting for most of the forced closings.

Open interest in all major crypto assets has also contracted sharply as traders reduce exposure to risk during the selloff.

On-chain data, however, reveals a different picture. As crypto.news reported earlier this week, analysis platform Alphractal said that Dogecoin returned to a historically important point of accumulation between $0.10 and $0.11 before retreating. The firm noted that DOGE was trading near the lower boundary of its CVDD Channel, a model designed to identify long-term value areas based on currency age and transaction volume.

Alphractal asserted that similar areas have emerged before Dogecoin’s big gains in previous market cycles. The firm also described the current structure as an era of quiet absorption rather than aggressive distribution, despite weak sentiment across the meme industry.

A multi-year head-and-shoulders split dominates the chart

The weekly chart now shows one of the biggest bearish structures in the history of Dogecoin. Price completed a shoulder and shoulder pattern that developed over two years, the left shoulder was formed in early 2024, the head near the peak of 2024 is about $0.48, and the right shoulder in the second half of 2025.

DOGE broke the rising neckline at the beginning of the year and failed to recover it during subsequent rallies. The previous support line near $0.16 has now turned into resistance, leaving traders firmly in control of the long-term trend.

The momentum indicators remain weak. The weekly MACD remains below its signal line, while the price continues to trade below the major moving bands that supported previous bull cycles. At the same time, the Aroon formation in the weekly period continues to favor the dominant decline.

Commenting on the structure of the market, crypto analyst Ali Martinez noted that Dogecoin has already reached the goal of $0.0883 and is now testing the lower border of the descending channel.

“As long as this support continues, I think a recovery to $0.1019 and $0.1156 is still possible,” Ali wrote.

Support near $0.08 becomes a key battleground

Immediate support now resides at the current $0.08 level. A loss of that level would expose the psychological $0.067 area that Ali identified as the next major supply area under the market.

A failure to hold $0.067 could increase the chances of a move to the long-term structural support area near $0.05, which coincides with historical levels of consolidation seen before Dogecoin’s 2024 breakout.

Bulls still have a way to invalidate bearish setups. A recovery above $0.10 will bring DOGE back within Ali’s proposed zone, while a move above the broken neckline near $0.16 will weaken the head and shoulders breakout thesis and force traders to re-evaluate the long-term trend.

Currently, the weekly chart remains tilted to the downside as Dogecoin trades below the neckline and its previous accumulation range.